What Are the Phases of Franchise Development?

If you’ve ever thought about franchising your business, you’ve probably asked:

“How does this actually work?”

It’s easy to get caught up in the idea — the logos, the website, the big map of future locations. But like anything worth doing, it happens in stages.

And it starts before anyone signs anything.

Phase 1: Bring People In

Before you can sell a franchise, you need people to talk to.

This is your top-of-funnel moment — the lead generation stage.

You’re not closing deals here. You’re starting conversations.

Think:

  • Website inquiries

  • Referral calls

  • Intro emails

  • Maybe even someone who visited your store and said, “I want one of these where I live”

At this point, you’re looking for interest. Curiosity. A spark.

Phase 2: Discovery

Once someone raises their hand, the real work begins.

They start learning about your brand. You start learning about them.

This stage usually includes:

  • Reviewing the FDD (Franchise Disclosure Document)

  • A few calls or Zooms with your team

  • Questions (lots of them)

  • Honest conversations about what the business actually requires

This is where things start to get real.

Phase 3: Discovery Day or Approval Day

If everything’s feeling good on both sides, it’s time for an in-person step.

This is often called Discovery Day or Approval Day.

They’ll visit your HQ or flagship location.
Meet the team.
See the systems.
Ask deeper questions.

It’s like meeting the family before you say “I do.”

And it matters — a lot.

Phase 4: Mutual Confirmation

You like them. They like you.

But are you both sure?

This phase is where both sides take a breath and decide:

  • Do we want to move forward together?

  • Are our values aligned?

  • Is this someone we feel proud to partner with?

If the answer is yes — it’s time for the final step.

Phase 5: Legal, Onboarding, and Training

Once you hit “go,” it becomes official.

You sign the franchise agreement.
They pay the fees.
You move into onboarding and training.

This is where the relationship deepens — and where all the preparation pays off.

They’re not a lead anymore. They’re part of the brand.

So… What Are the Phases of Franchise Development?

It’s a process.

You go from hello to handshake in a series of thoughtful, intentional steps.

Each phase matters.
Each one helps you find the right people — and set them up to succeed.

Because franchising isn’t just about growth.
It’s about building something strong — together.

*This is not an offer to sell a franchise. Franchise offerings are made only through the delivery of a Franchise Disclosure Document (FDD)*

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